Scotiabank’s Chief FX Strategist, Shaun Osborne, observes that the Japanese Yen (JPY) is exhibiting superior performance against nearly all G10 currencies.
Currently, the JPY has demonstrated significant strength, gaining 1.5% against the USD as of Thursday’s North American trading session. The Swiss Franc (CHF) is the only G10 currency to outperform the JPY during this period.
This outperformance is largely attributed to a deterioration in overall market risk sentiment, driving investors towards safe-haven assets. Furthermore, recent domestic economic data has contributed to the Yen’s strength. Specifically, markets have reacted favorably to the release of stronger-than-anticipated Producer Price Index (PPI) figures, providing fundamental support for the currency.
